Sports Direct scores as JJB misses target

tHe contrasting state of the high street was highlighted when sports Direct posted a jump in profits while sportswear rival JJB appealed to investors for cash.

sports Direct, which is controlled by billionaire Newcastle United football club owner Mike Ashley, pictured, reported pre-tax profits up 24pc to £151.5m for the 53 weeks to the end of April.

Despite the gloomy economic climate the country’s largest sportswear chain saw sales grow 7.9pc to £1.2bn at its 400 stores.

the business, which also owns the slazenger and Dunlop brands, said its online sales rocketed 82pc to £174m.

Boss Dave Forsey said the group had not paid a dividend since 2009, and would not pay one this year.

Forsey said the firm wanted the cash to maintain its ‘investment flexibility’ to allow it to open more UK and european outlets.

Ashley, who owns over two thirds of the business, is set to earn £24m, if the business continues to beat annual profit targets that run to 2015.

sports Direct said 2,000 workers would earn around £50,000 over the next two years as part of company’s bonus scheme.

By contrast JJB said poor trading from lacklustre euro 2012 football finals and rainy weather caused sales to tumble 8.7pc in the 24 weeks to the middle of July.

the retailer, which has 180 stores, said it had opened talks with key investors that includes larger Us rival Dick’s sporting Goods to raise additional cash.

in April JJB received £30m from the same group of shareholders and suppliers.